Health Care and Insurance Demand Essay Assignment Paper

Many studies have been conducted to find out the relationship between the demand for health care services and the variations in the insurance cover of the citizens of a nation. The studies vary in findings but the common feature of these studies is that the demand for medical care varies with the changes that take place in the insurance policy. There has been a widespread campaign for an increase in the insurance cover. The result has been a significant increase in the cost of medical care and this is one of the reasons for the budget deficit. Contrary to the common belief, an increase it insurance coverage ultimately increases hospitalization and the net cost of medical care (Huang, 2011).

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